Gold Rises Amid Weakened Dollar and Escalating Middle East Tensions

Gold prices rose on Wednesday due to a weakened U.S. dollar and escalating geopolitical tensions in the Middle East. The spot price of gold increased by 1.1% to $4,401.09 per ounce, while U.S. gold futures for December delivery rose marginally by 0.1%, settling at $4,445.10.

Lukman Otunuga, a senior research analyst at FXTM, noted that gold is benefiting from the combination of a softer dollar and technical buying activity, bouncing back from its 100-day moving average.

The geopolitical landscape in the Middle East has been increasingly strained, with Iran's Revolutionary Guard reporting missile attacks on a U.S. military base in Jordan and engaging in assaults on multiple vessels.